SNEAK PEEK
- Do Kwon speaks up after months of silence on Terra Luna.
- South Korean authorities haven’t charged him yet, but his employees are not allowed to leave the country.
- BitGo demands $100 million and claims Galaxy’s actions are improper.
The Crypto industry saw a major downfall of Terra Luna’s collapse this May, making it one of the biggest negative events in the industry. After continuing months of silence, the Co-founder of Terraform, Do Kwon, recently spoke out in an interview.
The Terra empire, which was around $100 billion in value, collapsed and erased trillions of dollars of the investors across the crypto ecosystem.
Kwon said many of his team members are still unsure if his confession that he was wrong,” bet big,” and thinks he “lost” was genuine or just an effort to rebuild his extremely damaged reputation.
He added that till now, no one from the South Korean prosecutors has been in touch with him. Also, he hasn’t been charged with anything, though law authorities are restricting his employees from leaving the country.
Separately, Galaxy Digital and BitGo broke things off after the crypto custodian allegedly failed to deliver its financial statements from 2021, which violated the term it was agreed upon.
BitGo was not happy about that and considered Galaxy’s actions “improper” and stated plans to hold the firm “legally accountable” while asking for over $100 million in damages.
All this occurred after Galaxy reported its second-quarter income earlier this month with a loss of $554.7 million and as the company awaits SEC review and stock exchange approval for U.S-based Nasdaq listings.
The Terra Luna collapse also caused CoinShares to lose $21 million. However, the company still managed to remain resilient.
All in all, it seems like Galaxy is too busy focusing on itself to perform prior commitments.
However, a source close to BitGo claimed that a number of entities had contacted them for a deal, so there are chances of a happy ever after.
Lastly, the discussion was on the shop, like what’s going on with Crypto.com following the second round of layoffs which was worse than their last cuts of 5% in June, which was cited to the crypto bear market at that time.
